IFRS for SMEs Implementation Guidance 2009.fm

ILLUSTRATIVE FINANCIAL STATEMENTS
XYZ Group
Consolidated statement of comprehensive income and retained earnings
for the year ended 31 December 20X2
(Alternative 2 – illustrating the classification of expenses by nature)
Notes 20X2 20X1
CU
CU
Revenue 5 6,863,545 5,808,653
Other income 6 88,850 25,000
Changes in inventories of finished goods and
work in progress 3,310 (1,360)
Raw material and consumables used (4,786,699) (4,092,185)
Employee salaries and benefits (936,142) (879,900)
Depreciation and amortisation expense (272,060) (221,247)
Impairment of property, plant and equipment (30,000) –
Other expenses (249,482) (145,102)
Finance costs 7 (26,366) (36,712)
Profit before tax 8 654,956 457,147
Income tax expense 9 (270,250) (189,559)
Profit for the year 384,706 267,588
Retained earnings at start of year 2,171,353 2,003,765
Dividends (150,000) (100,000)
Retained earnings at end of year 2,406,059 2,171,353
Note: The format illustrated above aggregates expenses according to their nature (raw
materials and consumables, employee salaries and benefits, depreciation and
amortisation, impairment etc). As the only changes to XYZ Group’s equity during the year
arose from profit or loss and payment of dividends, it has elected to present a single
statement of comprehensive income and retained earnings instead of separate statements
of comprehensive income and changes in equity.
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IASCF 7